Finally Puntland Sale Tax Implemented

[DR OSMAN]

 

[DR OSMAN]

I am not sure of the 'scale' of this sale taxes scheme and if it reaches everywhere universally across the whole market, even small traders. But heck it's a start and can be expanded if need be to make sure all 'transactions' in Puntland are paying their fair-share to the state who is 'enabling' the environment to trade, creating security, and delivering essential public services.

In-fact I am suprised why their isn't a fuel tax either

 

[FBIsomalia]

Its been implemented since Gaas era.

 

[DR OSMAN]

Its been implemented since Gaas era.

Are u aware of the 'scale' of it and is it only certain businesses such as 'medium n large' or has it reached even the smallest 'trader' and is universal?

 

[DR OSMAN]

Its been implemented since Gaas era.

We need a strong sub-branch of financial intelligence that is well funded in the finance ministry to carry out the task of estimating daily-weekly-monthly-quarterly-yearly revenue of different industries and traders, we can't rely on their 'figures' as they will 'fudge' it and claim 'low revenue', we need an independent analysis so we can take our govt analysis of their revenue vs what their reporting and work out an 'average' as long as it's 5-10% within margin of error or acceptable variation. We won't accept companies report they earned $1000 in the whole year in revenue type of nonsense.

Everyone must pay their fair share. We shud adopt a 'variable' rate not 'fixed'. It's not fair that huge company pays 5% and the small lady selling fruits/vegetable pays 5%. Cadalad ma aha, sso we need variable rates applied depending on 'scale' of company. 5% will hurt the small trader more then 20% would hurt big or medium company.

The govt is enabling the business environment to trade, it provides security and rule of law like courts and prisons, and is delivering esssential public servicess that the people need. Everyone must contribute

 

[DR OSMAN]

Its been implemented since Gaas era.

Water-Electricity would be huge earners if the govt applies 5-10% sales tax there each month that every house has to pay. Even those manual workers in restaurant-car cleaning-construction workers, maids must contribute their earning not send it off back to their homeland and 'bleed us dry'. That area is totally untapped also. How dare ppl live in our land and not contribute, it sickens me the weakness in PL. Amnigi, adeegi, shaqadooda way raban lakin shillin bixin maayo is their logic. Iska daa inay wax bixiyan waxay arkeen shacab xoolo ah oo aan la hisabtamin and now they escalated by committing 'terror'. That's what happens when u dont hold ppl accountable , they take kindness for weaknesss and then EXPLOIT it for their own ends/means.

 

[Djokovic]

Water-Electricity would be huge earners if the govt applies 5-10% sales tax there each month that every house has to pay. Even those manual workers in restaurant-car cleaning-construction workers, maids must contribute their earning not send it off back to their homeland and 'bleed us dry'. That area is totally untapped also. How dare ppl live in our land and not contribute, it sickens me the weakness in PL. Amnigi, adeegi, shaqadooda way raban lakin shillin bixin maayo is their logic. Iska daa inay wax bixiyan waxay arkeen shacab xoolo ah oo aan la hisabtamin and now they escalated by committing 'terror'. That's what happens when u dont hold ppl accountable , they take kindness for weaknesss and then EXPLOIT it for their own ends/means.

Electricity is already expensive why would you add tax on it to make it more expensive for the consumer

dr osman you have a flawed understanding of economics cheaper electricity will lead to more productivity and in turn more money for the state

 

[DR OSMAN]

Electricity is already expensive why would you add tax on it to make it more expensive for the consumer

dr osman you have a flawed understanding of economics cheaper electricity will lead to more productivity and in turn more productivity for the state

The state needs revenue generation we shouldn't resort to begging the world to help keep us afloat, that isn't a true state anymore. Our ppl should pay for its own state.

 

[Djokovic]

The state needs revenue generation we shouldn't resort to begging the world to help keep us afloat, that isn't a true state anymore. Our ppl should pay for its own state.

Different ways of raising money by a state taxing essential services is probably the worst way to do it.

The way puntland can become wealthier is by investing in trying to make electricity cheaper this would lead to an economic boom.

 

[DR OSMAN]

Different ways of raising money by a state taxing essential services is probably the worst way to do it.

The way puntland can become wealthier is by investing in trying to make electricity cheaper this would lead to an economic boom.

Yes electricity cost is a factor in investment, but so is electricity reliability, it's pointless if its cutting out half the day when companies r producing something that needs energy as their labor/tax/operational costs r fixed or ongoing while their output is decreasing= business failure.

We won't be able to distribute high-load electricity everywhere, not now anyways, but start small with industrial park and a dedicated site for manufacturers to buy land plots and high load electricity provided to support their machinery. Once it grows we can continue it further or spread out high load energy lines everywhere and not limited anywhere. Residential areas-govt areas-commercial areas really don't need that type of investment tho.

 

[Djokovic]

Yes electricity cost is a factor in investment, but so is electricity reliability, it's pointless if its cutting out half the day when companies r producing something that needs energy as their labor costs r growing while their output is decreasing= business failure.

Need to invest in generating more power of course when the electricity becomes cheaper there will be more used there needs to be a a balance need to avoid the mistakes of all these other African countries who have scheduled power cuts

we need to increase the capacity and also do most power stations in puntland use diesel need to find something cheaper to use than that

 

[DR OSMAN]

Need to invest in generating more power of course when the electricity becomes cheaper there will be more used there needs to be a a balance need to avoid the mistakes of all these other African countries who have scheduled power cuts

we need to increase the capacity and also do most power stations in Somali use diesel need to find something cheaper to use than that

I think @Thegoodshepherd made a point about commercial law/regulatory bodies/courts have to be set up and be absolute 'highly competent', u can't play around here with corruption, if this isn't there or dysfunctional, it could lead to ppl not risking large amount of capital, which I don't blame them for but the state. This is another enabler role the govt has to serve before investors to come.

 

[Djokovic]

I think @Thegoodshepherd made a point about commercial law/regulatory bodies/courts have to be set up and be absolute 'highly competent', u can't play around here with corruption, if this isn't there or dysfunctional, it could lead to ppl not risking large amount of capital, which I don't blame them for but the state.

We also need more investment foreign or local to invest in big long term projects

 

[DR OSMAN]

We also need more investment foreign or local to invest in big long term projects

Where's the govt to enable investor with confidence tho? they demand strong commercial laws and courts to handle trade marks, contracts, disputes, property rights which isn't compromised or corrupt either.

Where is the industrial parks and setting up the land divisions and energy/water infrastructure? where is the MARKET skills locally or are we going to be like africa and put ppl to work in unskilled manual areas and paid 2 dollar day on top of that no govt 'wage' protection in place where it can at least ensure the poorest segments are spending to fuel other market spaces. Where is govt providing business areas to tap into? identifying and calculating capital required, tax/labor/supply chain expenses involved, revenues, profit margins, and market spaces to be 'served or compete with'?

Lots of areas are totally blank/absent on our part and all we do is say 'why aren't investors coming' or petty investor/govt igu sawir forums with no tangible result, it's two-way street sxb sheekadu not 1 way.